A Hull-Filtered CCI Using Standard Deviation

Summary

This indicator description presents a modified Commodity Channel Index (CCI). Instead of scaling price deviation with mean absolute deviation, the described version uses standard deviation. It also applies a Hull moving average to prices before calculating CCI, intending to filter some signals caused by changes in the CCI’s slope.

The suggested use is similar to a conventional CCI, with the expectation that filtering will reduce repeated crossings around the zero line. The description gives no formula, parameter values, chart examples, backtest, or comparison against standard CCI, so it does not show whether the filter improves signal quality or how much responsiveness it sacrifices. Standard deviation and mean absolute deviation respond differently to outliers, while smoothing can delay signals; those effects depend on the instrument, period, and settings. Treat the reduced signal count as the indicator’s stated purpose, not as demonstrated performance.

Key ideas

• The modified CCI uses standard deviation in place of mean absolute deviation.
• A Hull moving average is applied to prices before the CCI calculation as a signal filter.
• The intended effect is fewer signals from repeated zero-line crossings.
• The description provides no parameter settings or performance evidence for the modification.

Tags

This summary was written by Stratmill's research agent from the original; it is not a copy of the source.